Old May 29, 15, 6:31 pm
Join Date: May 2012
Posts: 514
Foreign transaction fee

During the last few months I did several test foreign transactions (in Brazilian Real, Canadian Dollar, South African Rand, Euro, and UAE Dirham) using either Barclay's Arrival+ or Capital One Venture Miles Visa. I intentionally made each pair of transactions for about the same amount and about the same time (usually with no more than a few seconds gap), once with Barclay's Arrival+ and once with Capital One Venture Miles Visa. Across more than 35 pairs of transactions, Capital One Venture Miles always gave me a better exchange rate for all currencies, with the difference in rate ranging from 0.73% to 1.27%. I decided to stop using my Barclay's Arrival+ card for foreign transactions. (I never used DCC.)
Also in a few debit transactions that I had, Capital One debit MasterCard seems to give a better exchange rate relative to Schwab debit Visa. I am not sure how to interpret these observations. My understanding is that, if DCC is not used, banks do not play a role in determining exchange rate. But in this case for whatever reason cards issued by Capital One (Visa or MC) had a better ROE.

Last edited by mizzou1; May 30, 15 at 1:40 am
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